Driven by soda ash business, GHCL clocks 52% rise in Q3 net profit

AHMEDABAD: Driven by the inorganic chemicals business, the country’s second largest soda ash manufacturer Gujarat Heavy Chemicals Limited (GHCL) posted a 52% rise in its consolidated net profit for the third quarter of fiscal year 2022-23, the company announced in its regulatory filing. The company’s profit during the quarter stood at Rs 248 crore as against Rs 163 crore in the corresponding quarter of FY 22. RS Jalan, managing director, GHCL, said, “The market for soda ash has remained healthy with some import pressure from China due to its subdued domestic demand as indicated in last call resulting in price cut in early November, however prices have remained stable since then.”The company’s revenue from soda ash operations increased 38% during the quarter at Rs 1,051.12 crore. “We are watchful of the conditions and this trend may change with the opening of markets in China. Given the current market dynamics, we remain optimistic about continued growth in inorganic chemicals. Going forward, the demand is expected to get an additional boost from emerging segments such as solar glass and lithium- ion batteries,” Jalan further added.GHCL has announced a greenfield investment worth Rs 3,500 crore to set up a new soda ash manufacturing facility in Mandvi taluka of Kutch district in Gujarat.